This is indeed very good news. I had bought AGO based on fundamental numbers and had a stop loss in place of $14. I came within a few pennies of losing this stock. This announcement certainly justifies a much higher price on AGO and a fine future.
They always try to take out all the trailing stops, great that you missed it by a few cents. I'm now banking on mbi to be the next to get a settlement, they all will profit from the bad loans from these banks.
My thoughts exactly. No one wants to be the first to settle. Now that a big player ponied up, the others will follow to get rid of the overhang. Lots of cash for AGO, probably more cash than current market cap when all is said and done, and no more downgrade risk. In fact, depending on how much the other banks settle for, they could actually get their AAA rating back as they may end up overcapitalized.